North Carolina Down Payment Assistance Programs

Payments Gateway - These programs will be the Mortgage Credit Certificate and also the Down Payment Assistance Program.

If you meet the requirements for one of these programs and also you purchase a house between January 1, 2009 and December 1, 2009, you might also be eligible for the $8,000 tax credit only enacted into law.

First, who's a first-time Home Buyer? There is a first-time Home Buyer someone who hasn't owned a home in the prior three years. Here is the same qualifying definition for the $8,000 tax credit.

A Mortgage Credit Certificate (MCC) is a national tax credit to help home buyers with average and low incomes. The MCC takes this a step farther.

Should you are eligible for the MCC, you are able to claim 20% of the interest you pay as a credit on your federal income taxes on your mortgage. You are able to save around .

You will find a way to combine this with the $8,000 tax credit if you do qualify for the MCC, for 2009. This might reduce the tax liability of a buyer's by $10,000.

Household income means the “gross income of the mortgagor and any individual anticipated to reside in the dwelling who is 18 years of age or older.”

The income and house price limitations that apply in Durham, Orange and Chatham Counties are listed below.

MCC Income Limitations 1 Person $61,500 2 Individuals $61,500 3 Persons $70,500 4 Men $70,500

MCC Sales Cost Limits New Home $220,000 Existing House $210,000

Home buyers that need help with their down payment and closing costs might be able to get down payment assistance - or, to put it differently, interest-free, deferred second mortgages up to $8,000. The buyer just needs to pay and the load would pay as much as $8,000 of the remaining balance.

This plan has stricter income limits than the MCC program summarized above. Like the MCC program, it might be used together with the new $8,000 tax credit on home purchases between December 1, 2009 and January 1, 2009. The deposit help, nevertheless, can't be applied along together with the MCC. This is an either or scenario.

The income and house price limitations that apply in Durham Orange and Chatham Counties are listed below.

Down Payment Assistance Income Limits

1 Man $39,950 2 Individuals $45,650 3 Individuals $51,350 4 Men $57,050

Down Payment Support Sales Cost Limits New Dwelling $210,000 Existing Residence $210,000